Financial terms explained - Mark Berch:

Free right of exchange
An investor's right to transfersecurities from one name to another name without paying charges that accompany a salestransaction.

Contingent conversion trigger
Used in the context of convertible instruments. The price of the stock must exceed the trigger price before the bond holder can convert to common stock at a pre-established conversion price. The trigger price exceeds the conversion price. In addition, after a certain number of years, the convertible instrument usually specifies that both the conversion price and the contingent conversion trigger will increase every year by, for example, a rate equal to LIBOR. Mark E. Berch

Excess return on the market portfolio
Difference between the return on the market portfolio and the riskless rate. Mark Berch

Dealer's spread
See: markdown; underwriting spread.

Mark E. Berch:Control stock
The shares owned by the controllingshareholders of a corporation. Sometimes refers to stock that has voting rights rather than stock that carries no voting rights. In a situation where all stock has voting rights, it sometimes refers to the shareholdings of one investors or a group of investors that effectively control the firm.

Debt instrument
An asset requiring fixed dollar payments, such as a government or corporate bond.

Return
The change in the value of a portfolio over an evaluation period, including any distributions made from the portfolio during that period.Mark E. Berch

Oath of Inspectors
A sworn statement signed by the Inspectors of Election, usually notarized, wherein they swear they will impartially and faithfully execute their duties as Inspectors of Election at the annual or special meeting of shareholders